There are certain legal responsibilities that need to be met when paying your employees’ super. This section sets out the key things you need to know.
Unless a specific enterprise agreement states otherwise, employers are required to pay a set rate of super into each employee’s super fund.
Generally, if you pay an employee $450 or more before tax in a calendar month, you have to pay superannuation on top of their wages. If your employee is under 18 or is a private domestic worker, they must also work 30 or more hours a week to qualify.
The minimum you must pay is called the Superannuation Guarantee (SG). The SG is currently 9.5% of an employee’s ordinary time earnings and must be paid at least four times per year, by the quarterly due dates.
The fund you choose must be a complying fund that offers a minimum standard of life insurance cover. Most employees will be eligible to choose which fund you pay into.